INDIAN PORTS Fuelling the engines of growth...
IN
O
RT
S AS
S T C IA ION
DI AN P
TS A SSO R C PO TIO IA
N
A Quarterly Journal
O
N
I ND IA
Vol 47 January 2018
INDIAN PORTS SUBSCRIPTION FORM Please enter my Subscription to “Indian Ports” for one year issue from January 2018 onwards. I am enclosing herewith a Bank Draft/Crossed Cheque No………………………………......…….. in favour of “Indian Ports Association”, 1st Floor, South Tower, NBCC Place, Bhisham Pitamah Marg, Lodi Road, New Delhi 110003 Name…………………………………………………………………….……………………………………….………………… Address………………………………………………………………….……………………………………….………………… …………………………………………………………………………………………………………………….………………… …………………………………………………………………………………………………………………….………………… Subscription Overseas
India One Year (4 issues)
: Rs 350.00
One Year (4 issues)
: US$ 120.00
Single Copy
: Rs 100.00
Single Copy
: US$ 30.00
10% Agency commission to distributing agents for subscription of more than five copies. Add clearing charges to outstation Cheques (Rs. 50.00) Subscription charges are subject to change Mail to : Editor, “INDIAN PORTS” Indian Ports Association (IPA) 1st Floor, South Tower, NBCC Place, Bhisham Pitamah Marg, Lodi Road, New Delhi - 110 003 E-mail: mediaipa17@gmail.com
S T C IA ION
DI AN P
S AS
IN
RT
O
O
INDIAN PORTS
Fuelling the engines of growth...
Vol 47 January 2018 | A Quarterly Journal
Editor-in-Chief Shri Sanjay Bhatia, IAS, Chairman, IPA & MbPT Editor Shri A. Janardhana Rao, Managing Director, IPA Members Shri Anil Diggikar, IAS Chairman, JNPT
IN THIS ISSUE 1.
From the Managing Director's Desk
2
2.
Glimpses of Hon’ble Shipping Minister at Work
3
3.
Ports Reporting
4.
Ease of Doing Business Rankings: India Jumps 30 Points
16-18
5.
Statistical Profile
19-20
6.
PCS: A Journey Towards Automated and Paperless Trade
21-24
7.
India-ASEAN Trade and Investment
25
8.
Initiatives Under Sagarmala Programme
26
9.
Tenders
Shri Ravi M. Parmar, IAS Chairman, Deendayal Port Trust Shri M.T. Krishna Babu, IAS, Chairman, VPT Shri P.Raveendran, IRTS, Chairman, ChPT & Chairman (I/C), CoPT Shri Rinkesh Roy, IRTS Chairman, PPT & Chairman (I/C), KPT Shri Vinit Kumar, IRSEE, Chairman, KoPT Shri I. Jeyakumar, IRTS Chairman, MgPT & Chairman (I/C), VOCPT Shri S.P. Shirwadkar, Chairman I/C NMPT
4-15
Executive Directors Shri B. Krishnamoorthy, IOFS Dr. Abhijit Singh, Ph.D Asstt. Editors Asad Wasi, Head, India Maritime plus, Investment Facilitation Cell
27-28
Roselin Kiro, Communications Officer, IPA Correspondents ChPT KoPT PPT VPT KPL VOCPT CoPT NMPT MgPT MbPT JNPT DPT
: : : : : : : : : : : :
Smt S. Anto, CPRO Shri Sanjoy Kumar Mukherjee, PRO Shri P.C. Mishra, PRO Shri T. Venu Gopal, Senior Personnel Officer Smt Gomthi, Manager (PR I/C) Shri M.S. Sasiraj, PRO Shri Jijo Thomas, Dy. Secretary (PR) Smt H.R. Yadunandini, Asst Secretary (PRO) Shri Sebestiao Coutinho, Asst. Secretary (PRO) V.R. Jogelekar, Chief PRO Shri J.K. Mhatre, Asstt. Manager (Marketing) Shri Om Prakash Dadlani, TP & PRO
Published and Printed by Indian Ports Association, 1st Floor, NBCC Place, Bhisham Pitamah Marg, Lodi Road, New Delhi110003 and Printed at Degree Solutions Delhi 110002, Ph.: 011-41508791, 011-41508792 Mobile: 9910111583, 9971130775
Disclaimer: All views expressed by the authors/contributors are their own and not that of the Indian Ports Association (IPA)
From the Managing Director’s Desk When we look back at the year that passed, how eventful a year it was. The Port sector underwent significant changes and upgradation. 2017 was indeed an eventful year for the port sector. The year saw significant structural and policy level upgradation. Under the Sagarmala Programme, the government has envisioned a total of 189 projects for modernisation of ports involving an investment of Rs 1.42 trillion (US$ 22 billion by the year 2035). The Ministry of Shipping has set a target capacity of over 3,130 MMT by 2020, which would be driven by participation from the private sector. Non-major ports are expected to generate over 50 per cent of this capacity. India's cargo traffic handled by ports is expected to reach 1,695 million metric tonnes by 2021-22. Port sector is optimistic to witness further growth during the year 2018. With several new projects (approximately 55 in number) coming up in 2018, it is expected that capacity of ports will substantially increase. As per the vision of the Government of India, Ports are to undergo a major transformation in the years to come. From being mere gateways for export and import of cargo, ports are expected to turn into pivots of economic activity. Port led industrialisation is one of the pillars of Sagarmala Programme and it is expected that the year 2018 will see Ports emerge as centers around which industrial and commercial activities will flourish. The Ministry of Shipping has already identified large number of projects centered around ports to add to economic activity and these would finally lead to more maritime clusters being created. At Indian Ports Association (IPA), it was an exciting year for us. We successfully reached out to our stakeholders through our events . As we continue our journey, we take our legacy ahead and empower new possibilities, new challenges and new opportunities to serve you better.
With best wishes,
A . Janardhana Rao Managing Director, IPA
2
October, 2017
Indian Ports
GLIMPSES OF HON’BLE SHIPPING MINISTER IN LEADING ROLE Shri Nitin Gadkari, Hon'ble Minister for Road Transport & Highways, Shipping and Water Re s o u rc e s , R ive r D eve l o p m e n t & G a n ga Rejuvenation and Shri Devendra Fadnavis, Chief Minister of Maharashtra laid the foundation stone for the world class International Cruise Terminal in Mumbai on 11 January 2018. It is a major boost for cruise tourism in India.
Shri Nitin Gadkari, Minister of Shipping with Dr. Abbas Ahmad Akhoundi, Minister of Road Transportation and Urban Development, Islamic Republic of Iran at the India-Iran Bilateral meet at New Delhi. “We want to expedite development of Chabahar Port & strengthen our relations with Iran for infra & investment. Chabahar will be a win-win situation for India-Iran. By creating a logistic chain, it would help increase trade between India, Iran, Afghanistan & Central Asia”, said Shri Nitin Gadkari at the Bilateral Meet between India and Iran in New Delhi.
Shri Nitin Gadkari, meets Civil Aviation Minister Shri Pusapati Ashok to explore a regulatory regime for single engine seaplanes in India.
3
Cochin Port Trust Shri Nitin Gadkari lays Foundation Stone for International Ship Repair Facility at Cochin Shipyard Shri Nitin Gadkari, Minister of Shipping, Road Transport & Highways and Water Resources, River Development and Ganga Rejuvenation laid the foundation stone of Rs 970crore International Ship Repair Facility (ISRF) for Cochin Shipyard Limited on 17 November, 2017. The facility is being built at Cochin Port Trust where CSL has leased out a 40-acre plot for the project. The ISRF will be a state-of-theart facility that can handle a major chunk of small and medium size vessels plying in India. CSL will set up a ship lift system of size 130 m x 25 m with lifting capacity of 6000 tonnes and 6 work stations. The facility can repair up to 85 vessels, and CSL will thereby be almost doubling the number of ships that can be repaired every year.
Coastal Steel Consignment of RINL Arrives Cochin Port M.V. Sabarimalai, the coastal cargo vessel carrying 5000 Tonnes of steel products consignment of Rashtriya Ispat Nigam Limited (RINL), arrived at Cochin Port on 12 November, 2017 from Visakhapatnam. This was the first steel consignment of RINL moved by coastal route from their plant at Visakhapatnam as part of the coastal shipping initiative under Sagarmala project of Ministry of Shipping. Prior to this they were bringing their consignments for distribution in and around Kerala by rail to their stockyard. The arrival of the first consignment at Cochin emphasised the effort of the marketing team of the port, which was having discussions with the RINL authorities for more than a year to bring this consignment to Cochin. The Hon'ble Minister of Shipping and Hon'ble Minister of Steel jointly flagged off the first consignment of Vishakhapatnam Steel Plant of RINL at Vishakhapatnam Port on 31 October, 2017. It is expected that coastal shipping will play a key role in the growth of steel sector in the country as logistics cost will be less, thus giving a competitive advantage for the steel industry in the country. As per the current plans, around 10,000 tonnes of steel consignment of RINL is expected every month and other companies like SAIL and JINDAL are expected to start shipments in near future, giving additional cargo volume to the Port. It is a concrete example of project UNNATI.
4
‘Swachhta Hi Sewa' Campaign As part of Nationwide Swachhta Abhiyan-2017, massive cleanup activities were carried out in Cochin Port Trust during 15 September to 2 October, 2017. The special drive included cleaning of work places, office buildings, wharves and selected roads and public spaces in the Port area by the employees of different departments of the Port. Besides, a special drive for weeding out old records, disposal of scrap, renovation of toilets, painting of buildings, beautification of gardens, pathways etc. and conducting awareness programmes among the residents and offices of the trade in Willingdon Island were also carried out during the period.
Vigilance Awareness Week in Cochin Port Trust Observance of Vigilance Awareness Week was inaugurated by Shri A V Ramana, Dy. Chairman, Cochin Port Trust. A workshop on the theme - “My Vision – Corruption Free India” was conducted by Shri Michael Vetha Siromani, (IAS Retd.) on 31 October, 2017 in which Dy. Chairman, Cochin Port Trust delivered the key note address. About 70 staff members of various departments of the Port participated in the Workshop. The Chief Guest highlighted the importance of eradication of corruption in various spheres of public life.
Vigilance Awareness Week was observed in Cochin Port Trust from 30 October to 4 November 2017.
Integrity Pledge (including e-integrity pledge) was administered in various departments and divisions of the Port during the week. Activities such as poster designing and essay competitions for school students, elocution and essay writing competitions for college students and employees of the Port were conducted during the week. About 350 students from various schools and colleges attended the programme. The prizes to award winners of various competitions were distributed by Dy. Chairman and Heads of Departments during the function.
5
Jawaharlal Nehru Port Trust (JNPT) JNPT Organises Technology Innovations, Systems and IT Training Programme JNPT Antwerp Port Training and Consultancy Foundation organised seminar on 'Technology Innovation, Systems & IT' during 4-8, December 2017. Since inception, this was the 14th such seminar conducted, in which participants from various ports across India attended the seminar. Under the training programme, various topics like defining optimising processes as the premise to select and implement technology, overview of available technology for ports and terminals, proper selection process and procurement strategy to make the right choices, implementing technology process and maximising the success rate and technology for continuous improvement of customer service and profitability were discussed in detail. The training programme was organised to assist Port professionals in making right technology choices to better manage the processes and procedures for increasing efficiency in customer services and contribute to the profitability of ports. The participant members were taken around the JNPT operational area to showcase the port and terminal operations along with various capacity addition initiatives being implemented at the port. JNPT Antwerp Port Training and Consultancy Foundation initiate workshops on several topics in which Indian port and terminal professionals take part.
JNPT Recorded Growth of 5.76% in Container Handling JNPT, country's largest container port handled 3.9 lakh TEUs in the month of November 2017, recording growth of 5.76% in container handling for the April-November 2017 period compared to same period last year. Among the four t us i U;kl terminals at JNPT, JNPCT handled 1.18 lakh TEUs, APM Terminal's total stood at 1.66 lakh TEUs, DP World (comprising NSICT and NSIGT) together handled 1.06 lakh TEUs in the month of November 2017. The Direct Port Delivery initiative under 'Ease of Doing Business' has been steadily going up and in the month of November 34.73% of cargo was cleared through DPD, helping Trade save significantly in the transaction cost and time. Another important initiative-Inter terminal movements of TTs was used by 15,267 trucks completing 19,279 transactions in November, helping fuel saving of Rs. 7.12 cr. since start of this initiative. The month of November witnessed visits of many international delegation and purposeful developments. JNPT acquired a new Multi Utility Purpose launches part of 'Green Port' initiative, which is being deployed for fighting minor oil spill in the port area and debris collection. Delegations from Antwerp Port visited JNPT to discuss the roadmap for making JNPT Antwerp Training Centre a world class Maritime training institute. Hon'blePrime Minister of Latvia along with highlevel delegation from Latvia also visited JNPT to see the Port infrastructure and facilities. Delegations from Port of Halifax (Canada), Philippines and Indian Ambassador to Islamic Republic of Iran along with Iran delegation visited JNPT to explore the prospects of increasing the trade further among India and rest of the world. Commenting on the performance in November, Shri Neeraj Bansal, Deputy Chairman said “JNPT
6
continues to adopt trade friendly measures with a view to further increase the trade from the port in an efficient and economical way. The rise in DPD share too indicates that JNPT is well placed to achieve the target of 40 per cent as directed by the government and the Ministry of Shipping”.
JNPT Observed Vigilance Awareness Week Jawaharlal Nehru Port Trust (JNPT) celebrated vigilance awareness week with the theme of My Vision- 'Corruption free India' from October 30 to November 3, 2017 at JNPT. Capt. Sunil Nishith – Harbour Master, JNPT administered the oath to the officers and staff of JNPT at the beginning of the vigilance week. During the week, JNPT conducted various competitions such as essay writing, cartoon, posters, elocution, slogan writing at various schools, colleges and staff of JNPT. The employees attended the workshop on Shri Neeraj Bansal, IRS addressing the JN Port Staff “Preventive Vigilance” presided by Shri R.K. Aherwar, Controller & Stores (Retired)- South Western Railway. In addition to this, JNPT also organised narratives on “My Vision-Corruption Free India” on one of the top radio channels, namely 104 Fever FM Radio. An interactive workshop with Port users was headed by Dr. C. Unnikrishnan Nair, Chief Manager (Traffic), as part of the vigilance week and raised awareness about preventive vigilance. JN Port has taken lead in introducing various initiatives in making Port paperless through electronic approvals and simplification of processes to eradicate corruption. Vigilance department has also started toll free number and helpline number to assist common citizens to connect easily and help curb corrupt practices at all levels. Shri Neeraj Bansal, Deputy Chairman, handed over the prizes to winners in different categories in the valedictory function and in his address asked each employee to be vigilant and committed to up-hold highest standards of honesty and integrity at all times, and work together to eradicate corruption from the workplace. He expressed that he is confident that the spirit of the vigilance week will be carried forward in the rest of the year and into the future. JNPT celebrates the vigilance week to spread awareness about the need to foster a sense of working with complete integrity and work to achieve a corruption free India.
Efficient Warehousing Facility Can Help 'Make in India' Programme J N P T p a r t i c i p a t e d i n “ B u i l d i n g Wa r e h o u s i n g Competitiveness 2017” conference organised by CII with the theme of “Emergence of Science in Storage”. The role of warehouses has increased due to wider product range, emphasis on shorter lead times and constant changes in customer demand. Harnessing of technology to meet these new challenges in the warehousing operations will result in better service at lower costs. This was stated by Shri Neeraj Bansal, Deputy Chairman, JNPT while delivering the key
7
note address at the event. Elaborating on the theme, Shri Bansal said that in countries like India which is dependent on monsoon-fed agriculture, efficient warehousing system would play a vital role in promoting agricultural marketing and help in reducing the imbalance during harvesting season and off season by providing efficient storage facility. With emphasis on 'Make in India' scheme, the whole world is looking to our country in the field of manufacturing industry. India manufacturing has entered in almost all sectors. Top world as well as domestic automobile manufacturers is making India an automobile hub. This requires huge warehousing facilities for manufacturing and value additions. The SEZ projects in the country and JNPT's upcoming Port Based SEZ emphasises modern and state of the art warehousing facility. In a competitive global scenario, India has to match the international standards and warehousing industry has to adopt global standards. The challenges and concerns need to be addressed with coordinated efforts among all stakeholders and world's best practices should be adopted in our country. There is a need to work together for reduction of logistic cost and bring it down to Global benchmark of developed countries. JNPTs Dry Port Project at Jalna and Wardha will develop with state-ofthe-art warehousing facilities for agri and agri products, machinery, automobiles, steel and metal industries which will be directly connected to Sea Port of JNPT.
JNPT to Shift Imported Cargo to Mumbai Port Warehouses in Economy Drive JNPT will be shifting its imported cargo to Mumbai Port Trust warehouses from January to reduce the logistics taken in transactions. Currently, all of JNPT's 4.5 million TEU (twenty-foot equivalent unit) cargo is transported via road to the warehouses of Bhiwandi, which is 59 kms from the Port. From Bhiwandi warehouses, traders have to lift their cargo to designated areas of the city, in turn overlapping the route and increasing road congestion. The transit time of cargo to and fro Bhiwandi currently takes over 48 hours. For other imported cargo meant for the Maharashtra hinterland, JNPT will be making use of dry ports being planned in the central part of the state to facilitate faster and smoother movement of goods. For export-oriented cargo, the Ministry of Shipping has identified 2,000 acres near JNPT where goods from within Maharashtra and other states will be collected and taken to JNPT to be exported. The Mumbai Port is willing to start its service for JNPT cargo as it opens up two new revenue streams for it. “The wharf readily available for loading-unloading of vessels along with closed warehouses, which are partly vacant can be used by JNPT,� said Yashodhan Wanage, Deputy Chairman at Mumbai Port. With the realignment of cargo movement at JNPT, the Port is set to hit another level of Ease of Doing Business. Recently, the direct-port-delivery (DPD) system, which featured in the World Bank Ease of Doing Business report that put India 30 notches higher, was initiated at JNPT and Chennai Ports where container congestion has been the highest. Today, about 40 per cent of JNPT's cargo is moved via the DPD system leading to sizeable transaction cost savings as usage of CFS (container freight stations) is completely eliminated in this process.
8
Mumbai Port Trust MbPT to Set Up Solid Waste Management Facilities The Mumbai Port Trust (MbPT) has decided to set up a solid waste collection and segregation facility in areas controlled by them in south Mumbai. This facility will also include storage, disposal and transportation of 22 tonnes per day of waste generated from colonies of MbPT in Colaba, Mazgaon, Cotton Green and Wadala. The project is being undertaken to support the Union Shipping Ministry's plan, wherein all major Indian ports will have to undergo an audit to become 'green' and 'swachh'. According to MbPT officials, the solid waste generated from port and cargo operations is collected by the MbPT. However, MbPT desires to choose a solid waste management (SWM) service provider that will provide the service of collection, segregation, transportation, processing, storage, and disposal of solid waste generated in MbPT colonies and other designated areas of MbPT. Out of the total 22 tonnes of solid waste generated daily, nearly 55 per cent is wet solid waste, while the remaining is dry waste. The entire activity will be done following the Solid Waste Management Rules, 2016.
Mumbai Port Trust Initiates Process for Marina Facility Mumbai Port Trust has initiated the process to obtain approvals from the Ministry of Environment and Forest (MoEF) and the Indian Navy for the construction of a marina facility for yachts in South Mumbai off the Princess Dock near Mazgaon. The MbPT intends to develop a marina facility spread over 14 hectares of land at Princess Dock as a part of its Eastern Water Front plan to boost tourism. The marina facility in particular is being developed as many yachts visit or base themselves in the city, and they currently anchor off from the Gateway of India. By developing a marina, MbPT intends to augment the space for having more yachts and boost tourism. Several facilities that the MbPT plans to develop on the marina include ticket counter, lounge, lockers, restroom facility, wireless Internet access, vehicle parking, boat accessories, sales and spares outlet. It will also have a sheltered boat storage, boat launch facility, boat fuelling dock, fuel tank storage, water treatment and management plant and entry/ exit walkway towards marina.
9
New Mangalore Port Trust New Mangalore Port Trust during the current year 2017-18 (upto 14.12.2017) handled 28.77 Million Tonnes (MT) of traffic as against 26.84 MT handled during the corresponding period of last year. The increase in traffic is due to the enhanced handling of Coal, Iron Ore, Fertilise Cement etc. During the period 73,874 TEUs of containers were handled as against 64,014 TEUs handled during the corresponding period of last year.
Records & Achievements 7.19% growth in traffic during 2017-18 (upto 14 December, 2017) 28.77 MT as against 26.84 MT of 2016-17
01
15.40% growth in container traffic (73,874 TEUs as against 64,014 TEUs)
840 Kw Roof Top Solar Power generation on the top of covered shed inside the port commissioned during October, 2017
02
03
100th container vessel of the current year berthed on 14 December, 2017
04
Shri Suresh P Shirwadkar, Chairman (I/C) along with HoDs of NMPT in discussion with Shri Sanjay Gupta, IRSME, CMD of Konkan Railway Corporation during his visit to NMPT on 31 October, 2017
M.V. Pamba – 100th container vessel which berthed at the Port on 14 December, 2017
10
Vigilance Awareness Week Vigilance Awareness Week was observed in New Mangalore Port Trust from 30 October to 4 November, 2017 as per the directives of Central Vigilance Commission with the theme “My Vision- Corruption Free India�. The Week commenced with the integrity pledge administered to all the staff in Kannada, Hindi and English on 30 October, 2017. Competitions like Essay writing / Slogan writing, Elocution etc., on issues related to ill effects of corruption on business were conducted for the school children and employees. A quiz contest on conduct and disciplinary regulations of NMPT was conducted for the employees. A vigilance sensitisation program for all the stakeholders including Stevedores, Custom House Agents, Steamer Agents and Contractors/Vendors was organised on 25 October, 2017. Vigilance sensitisation programmes were also conducted in nearby schools and colleges. About 150 students of IT department of National Institute of Technology Karnataka, Surathkal participated in the program. Dr. S. Shakir Hussain I.R.S, Commissioner of Income-Tax (Appeals), Mangalore was the chief guest for the event.
Shri Suresh P Shirwadkar, Chairman (I/C) handing over Coffee Table Book to Dr. (Mrs) Malini V Shankar, IAS, DG Shipping & Special Secretary to Govt. of India during her visit to NMPT on 29 November, 2017
11
Shri Suresh P Shirwadkar, Chairman (I/C) HoDs, officers and staff of NMPT taking pledge on the occasion of Vigilance Awareness Week
Paradip Port Trust CARGO TRAFFIC Paradip Port Trust, handled 64.97 MT up to November 2017, as compared to 57.43 MT of cargo handled during the corresponding period of the previous year. There is an increase of 13.13% over the traffic handled during the corresponding period of previous year. As per the records up to November 2017, Coking Coal traffic has shown a growth of 15.06%. Similarly, Iron Ore traffic has increased by 44.18%, POL Traffic has increased by 34.71%, Container Cargo traffic grew by 102.96% and other Cargo Traffic has increased by 5.34%, compared to the corresponding period of previous year. Paradip Port has retained the second position in terms of cargo handled amongst all the Major Ports till the end of November 2017.
Principal Commodity-Wise Traffic Handled During April, 2017 – November, 2017
Paradip Port Trust handled 33.99 MT rail borne traffic up to the end of November, 2017 as compared to 33.70 MT handled during the corresponding period of last year.
Performance Parameters The number of vessels handled by the Port has recorded a growth of 13.09% as the Port handled 1166 number of ships in the FY-2017-18 (up to November, 2017) as against 1031 number of ships handled during the corresponding period of previous year. The Port has already taken a slew of measures which has ensured improvement in output ship day from 22,370 MT in 2016-17 to 24,032 MT in 2017-18 (up to November, 2017) witnessing a growth of 7.43% and average Turn-Round-Time (TRT) has improved from 5.39 days in 2016-17 to 3.50 days (from Readiness of Vessel) in 2017-18 upto November, 2017. The Expert Committee engaged by Ministry of Shipping has re-rated the capacity of all Major Ports as per Berthing Policy 2016, wherein they have ranked Paradip Port as no. 1 in terms of Rated Capacity at Berth which stands at 277 MMTPA among all the Major Ports. The Effective Rated Capacity of PPT is 234 MMTPA and the capacity at Desired Occupancy is 164 MMTPA.
12
The Port has taken up many projects to increase the capacity from existing 143.44 Million Metric Tonnes per annum to 325 MMTPA by the year ending 2025.
Paradip Port Creates All-time Record in Vessel Movement Paradip Port has successfully completed movement of 24 vessels within 24 hrs. on 3 December, 2017. In the first shift 9 Vessels, in the 2nd shift 7 Vessels and in the third shift 8 Vessels were handled by the Marine Department of PPT and a total of 2,37,341 MT Cargo was handled on the same day.
Vessel Movement in the Inner Harbour of PPT
PPT Receives Cape Size Vessels in the Inner Harbour MV URJA, the Cape Size Vessel 1,04,016 DWT with 291.9 Mtrs LOA and 45 Mtrs Beam berthed at the Central Quay (CQ) - 1 on 5 November, 2017. MV URJA owned by the Adani Group with PANAMA Flag is the longest vessel ever berthed in the inner Harbour of Paradip Port. MV URJA had arrived at Paradip Port to unload One Lakh MT of import Steam Coal for Adani Enterprisers Ltd. which was loaded at Richards Bay, South Africa.
MV Mineral Honshu
Further, a 2nd Cape size Vessel MV Mineral Honshu, with 1,17,983 MMT Steam Coal berthed at the Central Quay (CQ) - 1 on 24 November, 2017. It is a matter of great achievement since the first cape size vessel docked in the Inner Harbour of the Port 18 days ago. Paradip Port is now gearing up to handle Cape size vessels regularly inside the Harbour to enhance the Cargo throughput as it is vying for the coveted top position in the country with a host of other infrastructure development and modernisation facilities of the Port.
13
PPT Woos Investors by Organising Trade Meet As part of promotional campaign to attract Cargo Traffic as well as investment, Paradip Port Trust organised a Trade Meet on 20 September, 2017 at Jajpur Road to highlight various initiatives undertaken in operational areas, on-going and up-coming projects and trade facilitation measures taken by PPT to the valued customers.
Shri N. Vaiyapuri, Dy. Chairman, PPT addressing the queries during the Trade Meet
PPT Observes Port Day The Port Day was observed on the auspicious day of Kartik Purnima by the Paradip Port Trust Authorities on 4 November, 2017. On this occasion, Shri Rinkesh Roy, Chairman, Paradip Port Trust attended the function as Chief Guest and unfurled the Paradip Port Flag at Wet Basin.
Shri Rinkesh Roy, Chairman, PPT addressing the gathering
Thereafter, Harbour Master, Paradip Port, Capt. A.K. Mohapatra welcomed the guests in the meeting and explained the importance of Port Day celebration.
Shri Rinkesh Roy, Chairman, Paradip Port Trust speaking on the occasion extended his greetings to the gathering and said that it is an auspicious occasion to recall the vision and effort of the founder of the Port, Late Biju Pattanaik. He said that, as envisioned by the Prime Minister of India Shri Narendra Modi and Shipping Minister Shri Nitin Gadakari, under Sagarmala Programme, development of the Port is being undertaken. Under Port Led development, a Wood Park will be coming up, so that wood coming from countries like Malaysia will be processed locally. 11 lakh square kilometers of warehousing space is being developed in the Multi Modal Logistics Park.
Vigilance Awareness Week Held at PPT Paradip Port Trust observed Vigilance Awareness Week from 30 October, 2017 to 4 November, 2017. The week-long function started with administering pledge by Shri Rinkesh Roy, Chairman, PPT to the officers and employees of PPT. A Street Play named “Musa – The Rat” was organised on the occasion by CANMASS to make the public aware about the menace of corruption in our day today life. The valedictory function was held in the Officer's Club premises on 4 October. Shri H.S. Rout, Dy. CVO, Paradip Port Trust while welcoming the guests informed about the programmes undertaken by Vigilance Department and Administrative Department of PPT jointly for observation of Vigilance Awareness Week at Paradip Port.
14
Shri P.K. Manjhi, SP, CBI, Bhubaneswar delivering the keynote address
Shri P.K. Manjhi, SP, CBI, Bhubaneswar awarding the winners
Attending the valedictory function as Chief Guest, Shri P.K. Manjhi, SP, CBI, Bhubaneswar, told that abuse of Public Office for personal gains is currently prevalent in the society. Corruption of many types like bribery, kickback, nepotism, collusion, embezzlement, abuse of power and official positions are affecting the society. We should remember that corruption is anti-poor and anti-national. Shri Rinkesh Roy, Chairman, PPT as Guest of Honour elaborated how in recent times a greater deal of transparency is being maintained at PPT in Plot and Berth allotments. He appealed all the officers and employees to uphold their conscience and integrity, while discharging their duties. Thereafter, prizes were given to the winners of various competitions organised among the officers and employees of PPT, local school students during this week.
15
Ease of Doing Business Rankings: India Jumps 30 Points Asad Wasi, Head, India Maritime plus
F
ifteenth edition of World Bank's “Ease of Doing Business” (EoD) rankings for the year 2018 was released on 31 October 2017. For the first time, India moved into the list of top 100 countries among those ranked by the Bank. Last year India had ranked 130. This perhaps is the highest jump any country has made in these rankings.
The Report World Bank's EoD survey covers economies of 190 countries, evaluating them on 10 specific parameters required for doing business. Based on Survey, an index ranks nations based on 10 indicators. These indicators are:
• Starting a business, • Dealing with construction permits,
• Getting electricity, • Registering property, • Getting credit, • Protecting minority investors, • Paying taxes, • Trading across borders,
• Enforcing contracts and • Resolving insolvency. Each one of these indicators carry equal weightage. The compliance of these 10 criteria is measured through three factors: how many procedures are required, what is the time taken to complete the
16
procedures, and what is the cost incurred with reference to per capita income of a country. Ranks are given to each of these 10 topics and a composite rank is given to the country termed as ease of doing business rank. This composite rank is based on the concept of Distance to Frontier (DTF) - a measure that shows the distance of each economy to the “frontier,” which represents the best performance observed on each of the indicators across all economies.
2018 Rankings Latest report “Doing Business 2018: Reforming to Create Jobs” ranks New Zealand first with a DTF score of 86.55 whereas Singapore stands second with DTF score of 84.57. India with DTF of 60.76 is ranked 100th. Last year, India's DTF score was 56.05. The Report recognises India as one of the top 10 improvers during the period under survey. Having implemented reforms in most of 10 Doing Business indicators, India is the only large country to have achieved such a significant shift. The largest contribution to this improvement is in the area of paying taxes; India's rank on this count improved from 172 to 119. However, Goods and Services Tax (GST), the biggest tax reform in the country, was not factored in by World Bank while conducting this survey. As June 1 is the cut-off date for ranking economies, GST implementation was not factored in for this year's Report. Once accounted for, it will further improve the ranking. Significantly, India improved its standing to 103 in terms of resolving insolvency. This is one of the most encouraging parameters as previously India was ranked 136 in resolving insolvency. On this parameter, India jumped 33 positions in the latest Report. India also performed well on parameters such as Protecting Minority Investors, Getting Credit, and Getting Electricity. The country's corporate law and securities regulations have been recognized as highly advanced, placing India in 4th place in the global ranking on Protecting Minority Investors. And the time to obtain an electricity connection in Delhi has dropped from 138 days four years ago to 45 days now, almost 20 days less than the 78 days' average
17
in OECD high-income economies. India is in 29th place in the global ranking on the Getting Electricity indicator. However, India still lags in areas such as Starting a Business, Enforcing Contracts, and Dealing with Construction Permits. In fact, the time taken to enforce a contract is longer today, at 1,445 days, than it was 15 years ago (1,420 days), placing the country at 164th place in the global ranking on the Enforcing Contracts indicator. In Starting a Business, India has reduced the time needed to register a new business to 30 days now, from 127 days 15 years ago. However, the number of procedures is still cumbersome for local entrepreneurs who still need to go through 12 procedures to start a business in Mumbai, which is considerably more than in OECD high-income economies, where it takes five procedures on average.
Trading Across Borders Trading Across Borders is the indicator where performance of Ports plays an important role. The Report identifies that India has reduced border compliance time with improvement in infrastructure at JNPT. Export and import border compliance costs were also reduced in both Delhi and Mumbai after merchant overtime fees were abolished by customs. Thanks to the increased use of electronic and mobile platforms, since July 2016 importers under the Authorised Economic Operator (AEO) program have been able to clear cargo faster through simplified customs procedures. Consequent measures are taken by the Government and Indian ports, India's overall score on this parameter went up from 57.61 last year to 58.56 during current year. However, India's rank on this indicator dropped slightly shifting from 143 last year to 146 this year. This, perhaps, is because of better performance by other countries. The Government has taken a series of steps to improve border compliance both in terms of reduced costs and time. Some of these initiatives include elimination of manual forms; gate automation at ports; installation of RFID systems; Direct Port Delivery (DPD) & Direct Port Entry (DPE) for import and export consignments; integration of Customs Import General Manifest (IGM), EDI message with JNPT's Terminal Operating System (TOS); issuance of e-Delivery Orders; installation of container scanners etc. Hopefully, these efforts would bear fruit and India's ranking on Trading Across Borders parameter will improve in the years to come.
18
19
20
PCS: A Journey Towards Automated and Paperless Trade
A
fter years of putting up with multiple procedures and documentations involved in export and import of goods through India's seaports, the country's maritime community is mustering its collective strength to lobby for a common information technology (IT) platform to facilitate ease of doing business at ports. With more than 80% of world trade transported by sea, proper operation of ports is critical. A seamless, holistic, electronic flow of trade documentation is thus central to India's growth via these ports. As a part of Electronic Commerce/Electronic Data Interchange (EC/EDI) implementation, centralised web based - Port Community System (PCS) was envisaged to reap maximum benefits of EC/EDI and to move towards a paperless regime. At the instant of Ministry of Shipping, Indian Ports Association (IPA), the nodal agency of all Indian Major Ports, have taken the initiative to establish a centralised / uniform Port Community System covering all the Major Ports for the benefit of members of the Indian Port Community. It is also intended to provide a single window for the community to securely exchange the documents and information electronically with their stakeholders. This includes, the maritime transport stakeholders and logistics chain, including the trading partners and government agencies. The discussion in the maritime industry these days revolve around the urgent need to roll out the pan-India Port Community System.
Functionality of PCS Today ports and maritime authorities can choose from many mobile, web-based applications with which they can run their businesses. Still, some sectors of the maritime industry have not, when compared to other industries, been early adopters of new technology. Many ports still operate with legacy systems and manual processes, yet wish to define themselves as the hub of a modern port community system. Web-based technologies offer the technical infrastructure to do this. PCS is an electronic platform which connects the multiple communication systems of each of its members. In the Indian
21
Port Community, exchanging data, getting status updates from trading partners or transacting business with other members of the community takes place manually resulting in re-entry of data into their internal systems at the cost of speed and accuracy affecting their service levels to the customers. As the dominant players of the community (Customs, Ports, Banks etc.) began to adopt electronic exchange of data and ecommerce practices, other members are forced to comply. Centralised web basedPort Community System is an initiative intended to integrate the electronic flow of information and function as the centralized hub for Indian Ports and other stakeholders like Shipping Lines/Agents, Surveyors, Stevedores, Banks, Container Freight Stations, Government regulatory agencies, etc. through common interface. Benefits of a IPCS
Benefits Due to the electronic nature of the system, most of the information is now available on real-time basis. Submission of information in a well-designed workflow helps speed up the regular process.
Current Status of PCS
Efficiency
Security
Modernization
Competitiveness Reduction in Transaction time & Cost in Port Business
Moving toward paperless regime
n
After the implementation of PCS there has been a sea change in the operations of Ports from antiquated Ports to modern Ports by bringing in paperless regime.
n
All the Vessel, Container, Transport, Cargo, MMD, PHO, Finance related messages and e-payment module have been made ONLINE.
n
Presently, Eleven Customs related messages (2 Port to Customs, 9 Customs to Ports) have been made LIVE.
n
Messages are: VESPRO, Vessel sailing report, IGM, BE, out of charge, Transhipment Permit, Shipping Bill, LEO, Cargo Movement Approval, VESPRO Ack & Rotation Number).
n
Stakeholders : Shipping Agents, Shipping/Containers Lines, CFS, CHA, CONCOR/Private Rail Operator, Railways (CRIS), Stevedores , MMD, PHO, Coast Guard and Banks etc.
Currently, every month around 10 lakhs messages are exchanged and Rs. 300 Cr. Collected through PCS. PCS, the one of a kind platform to facilitate e-trade has added many feathers to its cap. The Indian Port Community System (PCS) has been awarded Silver Prize by International Association of Ports and Harbors (IAPH) at IAPH World Port Conference, Genoa, Italy held on May 28, 2009. It has also won the 2009 eASIA Awards for the Trade Facilitation Category.
Implementation of PCS at Non-Major Ports Mundra, Dahej, Pipavav, Cuddalore at Chennai, Krishnapatnam and Kakinada Ports have migrated under the ambit of PCS. Integration with four ports of GMB (Jamnager, Sikka, Bedi, Magdala) is at advance stage.
22
Messages
Take taken after Time taken before PCS implementation PCS implementation
Remarks
Vessel Profile (submission & Approval)
2 days(48 Hrs)
Average 1-2 Hrs
In many cases it is immediate
Voyage Registration and VCN Allocation
2 days (48 Hrs)
Average 1-2 Hrs
Berth Request and Berth Allocation
Next day in the berthing meeting
Immediate without any manual intervention
Container Related Messages
Physical Submission
All the documents are submitted by the Users for their office and these are uploaded in the system with very less time
Cargo Related Messages Delivery Orders
5-6 Hrs
ONLINE within 1 Hrs of submission
With the above non-major ports, around 22 ports will be ONLINE with PCS covering around 92% of total EXIM trade in volume. Efforts are being made to bring other Non-Major Ports namely Gangavaram, Nagapattinum (as per Custom Roll – Out List) under the ambit of PCS. With the introduction of Port Community System (PCS), Kolkata Port Trust (Kolkata Dock System) initiated a regime of paperless transaction at their Container Terminal. It has created a new benchmark in the area of environment responsibility. The measures introduced so far have not only resulted in substantial savings of paper but also simplification of processes 1758 11720 resulting in generous savings of manhours. With efforts 8760 geared towards environment friendly practices, the 54000 PORT CUSTOMER physical copy of the indicated DOCUMENTS DOCUMENTS documents was discontinued 58600 87900 in phases and was replaced by electronic messages. The 46900 number of pages that could be eliminated per annum, as per modest estimation, is Landing Tally Export Generation summary Container Advance List Carting Order mentioned against each Shipment Tally Container Generation List Export Opening Letter document:
23
It is worthwhile to note that due to elimination of hard copy there has been savings of 2,69,638 pages which in turn would save 30 trees annually. This is considered an important step towards reduction of carbon footprint and reflects concern for global warming and climate change. The result made customers happy
Way Forward The Ministry of Shipping has taken the initiative to improvise the current PCS by implementing the next version PCS (Version 2.0) by bringing non-major ports also into the ambit of PCS. It has also introduced initiatives like interoperability of ERP at all Ports, constant improvement in PCS on Life Cycle basis, transforming Indian Ports to World class ePorts and creating a paperless Maritime Trade in India. In a bid to reduce high logistics costs that have dented the competitiveness of the manufacturing sector, embracing a standardised technology to automate trade logistics business processes is not an option for India any more. And, for that, a PCS is a must-have, a common platform where all port users can log on to and conduct business improving efficiency of all the stakeholders.
24
India-ASEAN Trade and Investment
I
ndia made a significant development in its foreign relations when it hosted the heads of all 10 Association of Southeast Asian Nations (ASEAN) countries as chief guests on the occasion of its 69th Republic Day celebrations. The ASEAN-India Commemorative Summit began a day before Republic Day. The ASEAN countries too used the summit to hold bilateral discussions with India Trade and investment have grown steadily between India and ASEAN countries. ASEAN is the fourth-largest trading partner of India. As per the Ministry of External Affairs, the country's trade with ASEAN has increased to $70 billion in 2016-17 from $65 billion in 2015-16. Also, the export to ASEAN has increased to $31.07 billion in 2016-17 from $25 billion in 2015-16. On the other hand, India's import to ASEAN increased by 1.8 per cent in 2016-17 vis-Ă -vis 2015-16 and stood at $40.63 billion. Investment flows are also substantial from both the sides, since 2000 approximately 12.5 per cent of investment flew into India from ASEAN. Also, the foreign direct investment inflow from ASEAN into India 2017 was about $514.73 billion between April 2000 to August 2017, while FDI outflow from India to ASEAN countries from April 2007 to March 2015 was about US$38.672 billion. Today, both ASEAN countries and India are facing the same kind of traditional and non-traditional threats making the politico-security cooperation an emerging pillar in the relationship. Terrorism and violence are common security threats to the societies seeking cooperation and coordination at multiple levels. Also, engagement with the ASEAN countries will help India in furthering its economic as well as political ambitious while maintaining IOR at a zone of place. All these measures will help in further boosting the commerce with the region and achieving the target of $200 billion by 2022. This summit has proved to be an important step towards a developed and prosperous future for both sides. Stronger relations with India will help the ASEAN countries stand up to Chinese aggression while for India it will curb Chinese encirclement policy.
25
Initiatives Under Sagarmala Programme
Three rail connectivity projects under the Ministry of Shipping's flagship programme 'Sagarmala', worth Rs 38.71 crores have been awarded by Indian Port Rail Company Limited (IPRCL). These projects will help to increase connectivity and efficiency of ports.
As part of the National Perspective Plan, prepared under the Sagarmala Programme of the Ministry of Shipping, 7 Multi-Modal Logistic Parks (MMLPs) were proposed in Madhya Pradesh, Chhattisgarh, Rajasthan, Odisha, Telangana, Uttarakhand and West Bengal. The potential sites were identified based on comprehensive study of the container cargo movement across the country and are located in the proximity of important industrial clusters. This will be advantageous for the transportation of containerised cargo.
The Ministry of Railways will be taking up 21 port-rail connectivity projects, at an estimated cost of more than Rs.20,000 crores, as identified under the portconnectivity enhancement objective of Sagarmala, the flagship programme of the Ministry of Shipping. These projects are aimed at strengthening the rail evacuation network and last mile connectivity to the ports. In addition, another six projects are being considered by the Indian Port Rail Corporation Limited (IPRCL).
The State Government of Odisha will partner the Ministry of Shipping for taking ahead the 'port-led development' agenda under Sagarmala, the flagship programme of the Ministry. The State Government has confirmed 10% equity participation in the Special Purpose Venture (SPV) of Indian Port Rail Corporation Ltd (IPRCL) that will be formed for development of a heavy haul rail corridor from Salegaon to Paradip port. This initiative will strengthen supply-side connects from mine to port and will boost coastal movement of 140 MTPA of coal, as envisioned in Sagarmala National Perspective Plan.
26
Tenders Recently Floated Tenders 1. Mumbai Port Trust Mumbai Port Trust invites tenders for Traffic Evacuation plan for proposed Domestic Cruise, Marina and RO-RO Pax Terminals at Princess Dock. PH-I. Other details including Tender documents c a n b e d o w n l o a d e d f ro m we b s i te http://mumbaiport.gov.in.
4. Kolkata Port Trust Kolkata Port Trust invites tenders for allotment of covered space/land and water body at Chiranjibpur area overing the Dock and Industrial Zone of HDC on license and as is where is basis. Other details including Tender documents c a n b e d o w n l o a d e d f ro m we b s i te http://kolkataporttrust.gov.in.
2. Mumbai Port Trust Mumbai Port Trust invites tenders for carrying out Environmental Impact Assessment and Risk Assessment study, Environment Management Plan for: Deepening and Widening of Approach Channel to Second Chemical Berth at Pir Pau in Mumbai, including obtaining MPCB/CRZ and Environmental Clearance for the Project. Other details including Tender documents c a n b e d o w n l o a d e d f ro m we b s i te http://mumbaiport.gov.in.
5. Sagarmala Development Company Sagarmala Development Company floats Request for Proposal (RFP) for consultancy services for preparation of Feasibility Report for Development of Multi Modal Logistics Park (MMLP) at Paradip Port. Other details including Tender documents can be downloaded from the website https://eprocure.gov.in. 6. Jawaharlal Nehru Port Trust Jawaharlal Nehru Port Trust invites EoI for Floating Solar Power Plant at water lagoons at JNPT. Other details including Tender documents c a n b e d o w n l o a d e d f ro m we b s i te https://eprocure.gov.in.
3. Kolkata Port Trust Kolkata Port Trust invites tenders for allotment of land measuring about 1 acre in the Dock Zone of Haldia Dock Complex, Haldia on long term lease of 30 years without automatic renewal option of lease, on as is where is basis, on Upfront Premium basis, through tender-cum-auction with First Right of Refusal to the Ex-lessee. Other details including Tender documents c a n b e d o w n l o a d e d f ro m we b s i te http://kolkataporttrust.gov.in.
7. Indian Port Rail Corporation Indian Port Rail Corporation on behalf of Kolkata Port Trust invites Expression of Interest (EOI) for Land Management Information System (LMIS) for Kolkata Port Trust Area.
27
Other details including Tender documents c a n b e d o w n l o a d e d f ro m we b s i te http://kolkataporttrust.gov.in. Last date of bid submission is 29.01.2018 up to 11.30 am.
Deendayal Port Trust invites tenders for Design, Manufacture, Supply, Installation, Testing, Commissioning and Guaranteeing the performance of 3 Nos. of All-Terrain 100 Ton. Capacity and 3 Nos. of Rough-Terrain 60 Ton. Capacity Yard Cranes at Shahid Beheshti Port, Chabahar, Islamic Republic of Iran. Other details including Tender documents, corrigendum etc can be downloaded from website http://www.kandlaport.gov.in.
8. Kolkata Port Trust Kolkata Port Trust invites tenders for Selection of Consultant for Preparation of Techno-Economic Feasibility Report(TEFR), Detailed Project Report(DPR), Environment Impact Assessment including Environment Management Plan (EIA & EMP) and Bid Documents for Development of a Deep Sea Port at Tajpur, West Bengal for BHOR SAGAR PORT LIMITED. Other details including Tender documents, corrigendum etc can be downloaded from website http://kolkataporttrust.gov.in.
10. Kolkata Port Trust Kolkata Port Trust invites bids for setting up of Outer Terminal-I along with all required associated facilities on Design, Build, Finance, Operate, Transfer basis at Haldia Dock Complex for a concession period of thirty years. Other details and tender documents can be downloaded from website http://kolkataporttrust.gov.in
9. Deendayal Port Trust on behalf of Indian Ports Global Limited
28
Advertisement Tariff Indian Ports Magazine SINGLE COLOUR
FOUR COLOURS
Full Page
Rs 4000
Full Page
Rs 7000
Half Page
Rs 3000
Half Page
Rs 5000
Quarter Page
Rs 2000
Quarter Page
Rs 3000
Inside Front Cover
Rs 5000
Inside Front Cover
Rs 9000
Inside Back Cover
Rs 5000
Inside Back Cover
Rs 9000
Back Cover
Rs 6000
Back Cover
Rs 12000
The Editor “INDIAN PORTS”, Indian Ports Association 1st Floor, South Tower, NBCC Place, Bhisham Pitamah Marg, Lodi Road, New Delhi - 110003
Fax: 011-24365866 EPAB: 011-24369061/63 Email: ipa@nic.in Website: ipa.nic.in
Please book back/inside front cover in full/half/quarter and 4 colour/single colour page space for advertisement in the forthcoming issue of “Indian Ports” Quarterly Publication. We agree to pay a sum of Rs…………………..being the charges for the insertion of our advertisement. Soft copy of the advertisement material is enclosed A demand draft no……………….., dated………………… drawn in favour of “Indian Ports Association” is enclosed for the same.
Yours faithfully From: Name: Address: Fax No: Email: (Please 'tick' the appropriate item in the above while booking the advertisement)